Home' The Channel Magazine : National Newsagent August 2015 Contents 18 National Newsagent - August 2015
Delivery newsagents would predominantly agree that the
logistics component of the business is extremely time
consuming, and requires a lot of coordination—eliminating
some of this would make your job considerably easier,
right? Claude Morello and Matt Taylor, owners of Sydney
distribution hub FNET, just might have the solution you are
looking for—their software system iDeliver.
iDeliver is a user friendly software system for delivery
newsagents, which boasts the genuine automation of
most tasks such as stops and starts, supply data and
supply forecasting. The system also allows for detailed
communication with delivery drivers and staff without the
need for phone calls or texts and prevents delivery drivers
from repeating prior mistakes. The best part, however, is
iDeliver’s ability to integrate with the publisher’s websites
and eliminate human error by reconciling all of your home
delivery data ensuring you only throw papers which the
publishers are paying you for.
National Newsagent chatted to Claude recently about his
distribution hub FNET, the benefits of distribution hubs, and
how iDeliver has revolutionised his distribution hub.
NN: Tell us about FNET.
CM: FNET was established in May 2004 as a newspaper
distribution business, which delivered just on one million
papers across four territories. Eleven years later, we now
deliver over 3.5 million papers per year across over ten
territories. We hope to be delivering over five million papers
NN: What do you feel are the positives of distribution
CM: The positives are many, the main ones are:
Distributors can process much higher volumes and thus
garner higher revenues and profits in a distribution hub
environment. Because of the greater volumes, you can
amortise the costs much more and thus reap a higher
yield per paper. Rent (and other fixed costs) per paper
becomes much cheaper as the volumes grow—this is
only achievable through a hub set up.
There are significant savings for the publishers’ primary
freight costs as they must only drop papers to one hub
instead of several separate newsagents.
It's much easier to attract drivers and also build in
contingency across drivers and machines. The larger
the hub, the more drivers, the more machines, the more
back up available if things go wrong. Furthermore, the
competition is greater among drivers to maintain their
jobs, thus the productivity and performance increases.
NN: How do the logistics of the operation work?
CM: Our logistics rely solely on the iDeliver system. Because
the system is so automated and handles so many tasks,
we can run our business with one staff member to run the
operations. Of course, we also rely on dedicated, high-
performing drivers to execute the deliveries with minimal
error. This is all achievable through the benefits of the
NN: We understand that several distribution newsagents
have signed up to iDeliver in the last few weeks. Could you
give us an insight into these newsagents’ experience of the
software thus far?
CM: A lot of the new newsagents who are coming onto
the iDeliver system are very surprised at the errors we are
finding in their data. They always invariably comment that
"we just trusted that the publishers’ information was correct
and that we were getting paid accordingly".
Many newsagents don’t question the data they are receiving
and they never reconcile to check that they are getting paid
Conversely, publishers are aware that their systems and
channels of communications are capable of inconsistencies
and errors—they urge newsagents to reconcile their data,
which (agreed by all parties) is an arduous task. Furthermore,
there are instances where publishers are paying for papers
that are not being delivered.
At the click of a button, iDeliver resolves all these issues for
both parties, not only cleaning data for the publishers and the
agents, but also automatically processing all stops and starts
and most importantly, reconciling the papers being delivered
versus being paid, every day and every week. This alone will
cover the cost of iDeliver, on top of substantial savings in
time, money and accuracy.
NN: Do you feel iDeliver is effective for distribution
newsagents with single routes, as well as those who
CM: Of course! iDeliver allows all distribution newsagents to
build a profitable and sustainable business out of delivering
newspapers, whether they own a single route, or a large
distribution hub. In fact, several newsagents who signed up
recently and reaped the benefits of the system have been
For more information on iDeliver, refer to their
advertisement—make sure to call iDeliver and enquire asap
to make use of this great offer!
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